A 12 Month Look Back at Business Transformation Through True Software Defined Storage

MELVILLE, NY--(Marketwired - July 28, 2016) - FalconStor Software® Inc. (NASDAQ: FALC), a 16-year innovator of software-defined storage solutions, has enjoyed an unprecedented response from enterprise customers, MSPs, and OEMs since first releasing its groundbreaking FreeStor® software platform one year ago. Globally, FreeStor now manages the data of more than 250 customers, representing a who's who of companies including Nintendo, Fujitsu, Volkswagen, and Hitachi, and numerous organizations through MSP and OEM partners.

"The industry is moving toward storage environments built on commodity hardware and will continue to be differentiated by software and services. Technologies like the FreeStor platform are crucial at not only simplifying data management and protection but freeing the organizations from vendor-specific solutions and constraints," said Lynda Stadtmueller, Vice President Cloud Computing Services at Frost & Sullivan. "Technology leadership that contributes to the ongoing adoption of software-defined storage is welcomed by the market, and in particular by MSPs, CSPs and storage suppliers who need greater flexibility in designing modern storage solutions."

FreeStor's horizontal, heterogeneous software-defined storage platform helps these organizations attain maximum flexibility, operational efficiency, and economic value out of existing storage environments, future storage investments, and seamlessly transition to new paradigms like public cloud, hybrid cloud, as well as heterogeneous flash and disk storage. Cloud and Managed Service Providers in FalconStor's ecosystem use FreeStor to deliver these benefits to their end users. FreeStor's predictive analytics provides real-time and historical analytics across heterogeneous storage systems to better manage capacity, performance, and availability. FreeStor's unified data services are also delivered across the entire storage infrastructure with always-on availability and continuity, enabling users to move, synchronize and protect data seamlessly across virtual and physical storage platforms.

Since its debut only one year ago, FreeStor's accomplishments include:

Added the industry's first intelligent predictive analytics across heterogeneous storage with real-time and over time insights from a single dashboard, regardless of storage vendor or location

Developed cloud-connected Backup-as-a-Service (BaaS) and Disaster-Recovery-as-a-Service (DRaaS) offerings for more value to MSPs and Cloud Service Providers without cloud vendor lock-in or added hardware and complexity

Delivered integration with OpenStack, Oracle VM, and SAP HANA

Hypervisor agnostic support for VMWare, Hyper-V, Xen, and KVM

FalconStor's total number of FreeStor customers in the first half of 2016 is up over 50 percent compared to all of 2015.

FreeStor capacity sold in 1H16 is 1100% more than what was sold in all of 2015

One of the top global accounting firms is now using FreeStor to deliver data protection, recovery, business continuity and data migration

15 worldwide MSPs now use FreeStor to deliver top-tier services for their clients IT Service Provider LG CNS is using FreeStor to deliver Korea's first enterprise-class DRaaS deployment with global follow-the-sun availability

Received nearly a dozen media and industry awards, including four Product of the Year awards

"FreeStor helps us to provide infrastructure services that support our business to provide the highest levels of availability and data security," said Sandor Orban, Technical Lead Infrastructure Services at Sunrise Communications Group AG, the largest private telecommunications provider in Switzerland. "While the future is always changing, we know that FreeStor will be able to help us further optimize our environment, continuing the trend to consolidate and reduce costs without compromising our customer values."

"Our customers in the three verticals we support, especially in finance, are looking for differentiators -- ways to separate out the various managed service providers and pick the one with the most critical technologies and varied support," said Gabriel Enzo Gagliardi, CEO of Imptech, one of Latin America's largest MSPs. "Our clients needed a solution that could promote better utilization, reducing overall storage costs and migrate data seamlessly when the need arises. We felt the FreeStor platform could provide our customers with an intelligent and flexible technology layer that enables common, efficient and cost-effective storage services, and centralized management of storage resources across an organization."

"In an era of hardware commoditization, it can be difficult for end users to distinguish one product from another, so integration and partnerships are critical for demonstrating innovation and value," said Yann Rolland, CEO of Synerway, a vendor of storage appliances based in France. "FalconStor has developed a truly groundbreaking portfolio that transforms data center operations and gives end users the unified and modernized approach to protection and recovery that enterprises want."

"This past year has been one of remarkable success in both our technology development and the embrace of some very distinct market segments -- enterprises, service providers, and hardware vendor partners -- each of which have different requirements, yet each find FreeStor to be the best solution for modernizing their storage environments," said Gary Quinn, FalconStor President and CEO. "The introduction of FreeStor also signified a remarkable new shift or pivot point for the company, and while any progress comes with unique growing pains, I have confidence in our team and our vision for making enterprise storage more efficient and available, without regard to growing data volumes or architectural complexity. FreeStor is setting these users free."

FreeStor is sold via subscription pricing to enable users to pay-as-they-grow, based on capacity, eliminating the unpredictability of capacity expansion and renewal costs often associated with traditional storage platforms. MSPs resell FreeStor as a branded service to their own clients or use FreeStor internally to manage client data across disparate systems and environments. OEMs integrate FreeStor, often private-labeled, to gain the competitive edge of a far more sophisticated and powerful storage management option than they could develop in-house. For more information visit https://falconstor.com/page/630/why-freestor.

About FalconStor

FalconStor Software® Inc. (NASDAQ: FALC) is a leading software-defined storage company offering a converged data services software platform that is hardware agnostic. Our open, integrated flagship solution, FreeStor®, reduces vendor lock-in and gives enterprises the freedom to choose the applications and hardware components that make the best sense for their business. We empower organizations to modernize their data center with the right performance, in the right location, all while protecting existing investments. FalconStor's mission is to maximize data availability and system uptime to ensure nonstop business productivity while simplifying data management to reduce operational costs. Our award-winning solutions are available and supported worldwide by OEMs as well as leading service providers, system integrators, resellers and FalconStor. The Company is headquartered in Melville, N.Y. with offices throughout Europe and the Asia Pacific region. For more information, visit www.falconstor.com or call 1-866-NOW-FALC (866-669-3252).

FalconStor, FalconStor Software, FreeStor, and Intelligent Abstraction are trademarks or registered trademarks of FalconStor Software, Inc., in the U.S. and other countries. All other company and product names contained herein may be trademarks of their respective holders.